Asian stocks rose in early trading after better-than-expected earnings from CoreWeave Inc. eased concerns over the outlook for the artificial intelligence trade, helping counter a Wall Street selloff fueled by hotter-than-expected US inflation.

Japan’s Nikkei 225 rose as much 0.3%, while South Korea’s Kospi swung between gains and losses. A broader gauge of Asian shares advanced 0.2%. Contracts for tech-heavy Nasdaq 100 rose 0.4% in early Asian after the underlying index dropped 0.6% in regular trading.

Benchmark government bonds in Australia and New Zealand fell following a selloff in Treasuries. A gauge of dollar was little changed after rising 0.5% on Tuesday, while crude oil steadied after a two-day decline.

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CoreWeave shares rose about 2% in late trading after reporting quarterly earnings that topped analysts’ estimates and boosting its annual forecast. The results helped ease investor concerns about the debt-laden business suffering a slowdown. Investors are also focused on news that Anthropic PBC is targeting $1.4 trillion in fully diluted market value through its initial public offering.

Shares of SoftBank Group Corp. fell 8% in Tokyo after it swung to a ¥1.12 trillion ($7.1 billion) loss in its fiscal second quarter after writing down non-refundable advance payments for its US data-center projects.

In the US, S&P 500 snapped back-to-back gains after consumer prices, excluding food and energy, rose 0.3% in October from a month earlier, according to Bureau of Labor Statistics data, topping estimates for a third straight month. Overall CPI jumped 0.4% as the cost of essentials climbed across the board.

The data triggered a selloff in Treasuries, with the rate-sensitive short-dated bonds hit the hardest. Two-year yields jumped 17 basis points to 4.73%, the most in 19 months. Money markets are now pricing in the Fed to raise rates by a quarter point at its meeting next month, with some chance of an even larger move. Futures are baking in about three quarter-point hikes by June.

Following the release of CPI data, Dallas Fed President Lorie Logan said more rapid rate hikes may be needed this winter to calm inflation. Her remarks followed earlier comments from Governor Christopher Waller that a half-point rate increase in December may be warranted.

“The Fed could push for a more-aggressive tightening cycle with CPI continuing to print strong,” said Lindsay Rosner at Goldman Sachs Asset Management. “A December hike is our firm base case despite wider AI jitters, and stubborn inflation means we cannot rule out further hikes in 2027.”

The prospect of aggressive Fed hikes threatens to derail a nascent recovery in stocks that were whipsawed in the wake of Democratic sweep of the US Congress in the midterms. For bonds, the selloff marked a reversal of a rally that began early last month as tech stocks slipped on worries about the sustainability of the artificial-intelligence boom.